Illinois hospital loses Medicare contract

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Galesburg (Ill.) Cottage Hospital lost its Medicare contract, according to a termination notice from CMS. 

CMS said the Medicare contract for inpatient care ended, effective Dec. 27, because of the hospital's noncompliance with the Medicare Conditions of Participation. The notice said CMS identified issues related to physical environment, patient rights, nursing services and governing body. 

"The Medicare program will not make payment for inpatient hospital services furnished to patients who are admitted after the close of December 27, 2021," the notice reads. 

CMS said the hospital will continue to receive payments for inpatient hospital services for those admitted Dec. 27 or earlier for up to 30 calendar days. 

CMS told KWQC that the agency conducted four surveys at the facility between Nov. 19 and Dec. 27 with immediate jeopardy risks identified on three of the surveys.

"Despite CMS's administrative extension of Medicare termination, the facility has failed to ensure the health, safety, and well-being of patients," CMS told KWQC. "Involuntary termination of a provider agreement is a remedy of last resort after all other attempts to remedy the deficiencies at a facility have been exhausted."

The Illinois Department of Health told KWQC that the hospital can reapply to receive its federal Medicare certification, but the process can take four to six months.

The move will challenge the hospital, which received 59 percent of its total revenue from Medicare in 2020, according to The Galesburg Register-Mail

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